OTT video growth drives need for system integration

October 11, 2013 - 5:42pm
System integration will better position pay TV operators to take advantage of OTT video transport.

User interest in over-the-top (OTT) content, especially in the 18-34 year-olds demographic, drives the need for more integrated systems. A recent study by The NPD Group highlighted the most popular device environments for OTT programming delivery. Among the study's key findings - 75 percent of users with Internet-connected TVs use them to access OTT content services such as Hulu, Netflix and YouTube. The vast library of on-demand content offered through these services cuts into the use of connected TVs to watch more traditional cable and satellite programming.

Those owning streaming media players, such as Roku or Apple TV, represent the most likely group to access OTT video on a connected TV, the report found. Eighty-one percent of streaming media players do so, followed by Blu-ray Disc owners (77 percent), video game console users (73 percent) and those with direct Internet connections to their TVs (66 percent). The trend creates several key opportunities for network service providers, said John Buffone, director of devices at NPD Connected Intelligence.

"Increasing usage of OTT video services on the TV is opening up new opportunities for networks and pay-TV operators," Buffone said. "Increased content access and availability would be a win for the consumer, content owner, and operator."

In order to capitalize on these opportunities, network operators must invest in infrastructure solutions that support environments that utilize both conventional broadcast signals and IP video transport.

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